An International Monetary Fund (IMF) mission is set to visit Pakistan later this month for the third review under the ongoing economic programme, Finance Minister Muhammad Aurangzeb confirmed on Thursday.

Speaking at a Senate Standing Committee on Finance meeting, Aurangzeb said Pakistan currently faces no external financing gap, providing reassurance about the country’s financial stability. He added that discussions with the United Arab Emirates regarding loan rollover arrangements are progressing smoothly and according to plan.

The finance minister also revealed that Pakistan aims to issue Panda bonds during the first quarter of this year. Talks are underway, and the move is expected to help strengthen foreign exchange reserves and diversify funding sources.

Aurangzeb further informed lawmakers that negotiations over the National Finance Commission (NFC) Award are ongoing. He said a formal meeting will be scheduled after technical committees complete their consultations, highlighting the importance of consensus among stakeholders.

He stressed that improving Pakistan’s tax-to-GDP ratio is essential for sustainable economic growth and long-term financial stability. According to him, strengthening tax collection remains a key priority for the government.

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During the meeting, officials also reviewed the Finance Ministry’s budget for fiscal year 2025-26. Out of the allocated Rs 4.8 billion, around Rs 1.5 billion, or 31%, has been spent so far.

The committee was briefed on six development projects, including programmes focused on women’s financial inclusion. Officials said more than Rs 20 billion has been provided to women through microfinance institutions, aiming to support entrepreneurship and economic participation.

The committee directed authorities to submit detailed progress reports on these initiatives.